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REVLON'S STRATEGIC ANALYSIS

Executive Summary

Revlon is a company leader in the cosmetic and personal products industry. The company produces goods under Revlon, Almay, and Ultima brand names. Product categories are skin care, cosmetic and personal products.

Revlon has implemented an aggressive R&D investment. This has resulted in positive aspects for the company such us brand recognition and increase in sales. It focuses on global expansion. Therefore, the firm is successful in markets like Africa and Latin America. However, the competition is intense. The company's top competitors are Procter & Gamble, L'Oreal, Estee Lauder, and Avon. These competitors represent a major threat for Revlon. They sell their products in international markets and have aggressive strategies to increase revenues.

Revlon has struggled with debt in resent years. Its long term debt was $1,308,200 for 2004. The company is not financially stable. The net income has been negative for the last three years. Its growth rates are below the industry rates.

The strategic analysis shows that the company has some internal and external problems. The company has low competitive advantage compared to top competitors. This means that the company will be in a poor position to change with the market. Revlon has a low rate of return and cash flow problems.

* The Internal and External Strategic Position and Action Evaluation shows that the company has a weak competitive position, a negative growth in a stable industry.

* The Boston Consulting Matrix demonstrates that the company's market share is in a medium position relative to the industry market share.

* The Internal-External Matrix shows that Revlon has average weighted scores.

Current Mission Statement

Revlon strives to provide our costumers with the latest and most innovative beauty products in the world. Revlon is the number one provider of cosmetic and personal care products worldwide, and continues to expand the markets it operates in. With our excellent R&D department we continue to produce leading edge beauty products. Revlon believes that our consumers deserve the safest and most technologically advanced products. Our tremendous partnership with large mass merchandisers and chain stores provide our consumers with widespread access to Revlon products. Our exceptional team and excellent training program will develop Revlon into enjoyable company to work for."

Revised Mission Statement

1. Customers

Who are the firm's customers?

Revlon strives to provide our costumers with the latest and most innovative beauty products in the world.

Our tremendous partnership with large mass merchandisers and chain stores provide our consumers with widespread access to Revlon products.

The mission statement does not mention who the customers are.

2. Products and services

What are the firm's major products and services?

Revlon strives to provide our costumers with the latest and most innovative beauty products in the world. Revlon is the number one provider of cosmetic and personal care products worldwide, and continues to expand the markets it operates in.

3. Markets

Geographically, where does the firm compete?

Revlon is the number one provider of cosmetic and personal care products worldwide, and continues to expand the markets it operates in.

4. Technology

Is the firm technologically current?

Revlon believes that our consumers deserve the safest and most technologically advanced products.

With our excellent R&D department we continue to produce leading edge beauty products.

5. Concern for Survival, Growth, and Profitability

Is the firm committed to grow and financial soundness?

Revlon is the number one provider of cosmetic and personal care products worldwide, and continues to expand the markets it operates in.

6. Philosophy

What are the basic beliefs, values, aspirations, and ethical priorities of the firm?

Revlon believes that our consumers deserve the safest and most technologically advanced products. Our tremendous partnership with large mass merchandisers and chain stores provide our consumers with widespread access to Revlon products.

7. Self-Concept

What is the firm distinctive competence or major competitive advantage?

Revlon strive to provide our costumers with the latest and most innovative beauty products in the world.

8. Concern for Public Image

Is the firm responsive to social, community and environmental concerns?

Revlon's mission statement does not describe its concerns with the community and environment.

9. Concern for Employers

Are employees a valuable asset of the firm?

Our exceptional team and excellent training program will develop Revlon into enjoyable company to work for."

Revlon strive to provide our costumers with the latest and most innovative beauty products in the world. Revlon is the number one provider of cosmetic and personal care products worldwide, and continues to expand the markets it operates in. With our excellent R&D department we continue to produce leading edge beauty products.